June 15, 2016 / 1:37 PM / 2 years ago

UPDATE 1-MAN SE CEO says Diesel unit sale hasn't been discussed

* Parent VW to present new business strategy on Thurs

* VW to review components ops but no decisions yet -source

* VW sup board took no decisions on Tues -source (Adds detail and background)

MUNICH, June 15 (Reuters) - MAN SE’s executive board has not discussed selling the Diesel & Turbo division, its chief executive said, dampening rumours that a divestment of the business could come soon as parent Volkswagen pushes cost savings.

Volkswagen will on Thursday present a new business strategy to move beyond its emissions scandal, with the focus on decentralising operations, improving accountability and expanding electric-car offerings as well as mobility services.

Analysts have said Volkswagen may choose to sell assets that are not central to its cars and trucks business such as the MAN unit making large diesel engines and turbomachinery as VW faces billions of fines and costs from its emissions scandal.

MAN SE’s top executives have not yet discussed a possible sale of the division or splitting up the group, whose core unit is part of VW’s truck operations, MAN Chief Executive Joachim Drees said on Wednesday at the annual shareholder meeting.

VW’s supervisory board discussed the so-called strategy 2025 for the multi-brand group including MAN SE on Tuesday without taking firm decisions, a person familiar with the matter said on Wednesday.

To boost cost savings, Wolfsburg-based VW aims to bundle the production of components for its various brands and external customers, and will review its portfolio of assets, which could lead to the sale of non-core assets, Bloomberg reported on Tuesday citing sources.

A second person told Reuters on Wednesday that VW will review component production, also because its growing push into electric cars and on-demand mobility services may render certain parts redundant, but said there had been no decisions on the matter.

Separately, MAN’s Drees said the company had no intention to increase its 76-percent stake in the RENK AG division, a producer of gears for industry. (Reporting by Irene Preisinger, Jan Schwartz and Andreas Cremer. Editing by Arno Schuetze and Georgina Prodhan)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below